Expert Systems

Definition ∞ Expert systems are computer programs designed to replicate human decision-making abilities within a specific domain. These systems typically employ a knowledge base containing facts and heuristics, along with an inference engine that applies rules to deduce conclusions or recommend actions. They operate by processing information much like a human expert, providing explanations for their reasoning process. Historically, expert systems represent an early form of artificial intelligence, focused on symbolic reasoning rather than statistical learning.
Context ∞ While less prominent in current crypto news compared to newer AI paradigms, expert systems still inform the design of some automated decision-making processes in digital asset management or regulatory compliance. Discussions may arise when evaluating the transparency and auditability of rule-based logic in smart contracts or financial algorithms. A key consideration involves how these systems might be adapted or superseded by machine learning approaches for predictive analysis in volatile crypto markets. Understanding their foundational principles helps differentiate between various AI applications in the digital economy.